Slippery slopes part of Turoa deal

By LIBBY MIDDLEBROOK

For sale - one New Zealand ski field, snow guaranteed.

The financially troubled Turoa Ski Resort on the southwest side of Mt Ruapehu will be sold by tender during the next two months.

The ANZ bank put the privately-owned company into receivership this month after two years of limited snowfall and problems caused by the Mt Ruapehu eruptions. The company is estimated to owe more than $7 million.

PricewaterhouseCoopers receiver Gary Traveller said that if resource consent approval were given, snow-making equipment worth $500,000 would be installed during the next two months to sweeten the purchase deal, reducing the impact of snow-challenged winters.

The neighbouring Whakapapa ski field introduced snow-making equipment last winter, enabling it to open its learner slopes for the July school holidays.

"The first decision was whether we were going to open for winter, and the answer is yes," Mr Traveller said.

"In the meantime, we've got to make sure the best value is achieved through this asset and snow-making makes it a far more attractive investment."

Mr Traveller said several groups were interested in a shareholding in Turoa, including Australian-based businessman Sir Andrew Grimwade, its present owner.

"Andrew has had a life-long interest in this field, and I'll be very surprised if he doesn't retain some ownership," Mr Traveller said.

A group of Wellington-based private investors, who last month failed to buy Turoa's debenture from the ANZ, are also understood to be making a bid.

The changing ownership of Turoa Ski Field may not be good news for creditors such as King Country Energy, which is owed more than $100,000.

"We will have to see if there is enough left over from the sale ..." said Mr Traveller.

The sale will be advertised internationally this week. Tender documents will be available by Friday.